COMMISSIONER OF C EX , LUDHIANA Vs. PUNJAB EXPORTS

JUDGEMENT

(1.) This appeal filed under Section 130 of the Customs Act, 1962 , challenging the order dated 26-5-2006 passed by the Customs, Excise and Service Tax Appellate Tribunal, New Delhi and it is claimed that the following substantial question of law would arise for our determination:

(2.) Brief facts of the case are that the assessee is a 100% Export-oriented Unit and is engaged in the manufacturing of Polyester Grey Fabrics. On 27-3-2002, the officers of the Revenue searched the premises of the assessee. They discovered 100 bales of foreign made fabrics which were lying unaccounted in the compounded warehouse of the assessee. The Managing Director of the assessee concern disclosed that those goods in fact belonged to another concern i.e. M/s. Fashion World International which was situated in the same building. Thereafter, a show cause notice was issued to the assessee for confiscation of the bales and for imposition of penalties.

(3.) The adjudicating authority after going through the evidence on record concluded that the bales in question were duly entered in the statutory record of M/s. Fashion World International and dropped the proceedings. However, the matter travelled to the Tribunal and the Tribunal while reaffirming the finding of the adjudicating authority concluded as under :